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Gnáthamharc

Thursday, 27 Oct 2022

Written Answers Nos. 41-60

International Agreements

Ceisteanna (42)

Louise O'Reilly

Ceist:

42. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps that his Department has taken to address the issues raised in the Irish Human Rights and Equality Commission report to the Council of Europe regarding the State's lack of implementation of the European Social Charter. [53833/22]

Amharc ar fhreagra

Freagraí scríofa

My Department coordinates Ireland’s annual National Reports under the Council of Europe’s Revised European Social Charter and submitted the 19th National Report on the implementation of the Charter in December 2021. The Report focused on the accepted provisions under the thematic group “Labour Rights”.

As in 2019 and 2020, State Parties were invited to limit their reports to replies on specific and targeted questions from the Council of Europe’s European Committee of Social Rights.

The comments of the Irish Human Rights and Equality Commission (IHREC) on Ireland’s 19th National Report submitted to the Council of Europe were received in July 2022 and my Department coordinated Ireland’s response to the issues raised in consultation with other relevant Departments.

The specific issues raised by IHREC are wide-ranging and diverse and it would not be possible in this reply to provide the Deputy with the full extent of issues arising and Ireland's response including steps being taken. Ireland’s response to the issues raised by IHREC is available on the Council of Europe’s website and I am happy to forward a copy of this report to the Deputy.

The European Committee of Social Rights will consider IHREC’s Report and the Irish Government’s response to it as part of its overall assessment of Ireland’s 19th National Report.

The Committee’s conclusions on Ireland’s 19th National Report are expected to be adopted and published in early 2023.

Question No. 43 answered with Question No. 13.

Official Engagements

Ceisteanna (44)

Peadar Tóibín

Ceist:

44. Deputy Peadar Tóibín asked the Tánaiste and Minister for Enterprise, Trade and Employment if he has met with representatives of an organisation (details supplied) since the opening of a European hub in Ireland; and if so, the dates that such meetings have taken place. [53650/22]

Amharc ar fhreagra

Freagraí scríofa

Recently I attended a photocall with President of Huawei Cloud Western Europe, Mr. Tim Tao and CEO of Huawei Ireland, Mr. Tony Yangxu. The purpose of this engagement was to mark the announcement of a €150m investment in a European cloud hub which is to create 200 new jobs over 5 years at Huawei. Over the next two years, 60 technology-focused roles in sales, research and support will be created, with the remainder in place by 2027. As this investment is supported by the Irish Government through IDA Ireland, I was also joined by senior officials from IDA Ireland.

As part of this engagement, a short meeting was convened with the group during which I was briefed on the details of the investment announcement and other initiatives that Huawei are involved in. This includes their STEM ‘Seeds for the Future’ programme, which provides scholarship funding for secondary and third level students. The €150m investment will align Huawei Cloud with the existing Huawei functions in Ireland, supporting SMEs and start-up digitisation.

Cloud computing is of critical importance to many businesses, offering flexibility, scalability and reduced costs. Cloud computing is also a key part of the IDA Strategy as digital transformation across sectors will spur further investment in software and software-as-a-service (SAAS). Growth sectors in recent years have been closely aligned to the increasing digitalization of business and society and include Cloud Computing, Cyber Security and Microelectronics. As the delivery of business and consumer services increasingly moves online, cloud computing enables this online delivery.

The meeting and photocall both took place at Government buildings on Monday 10th October. The official announcement was made by the company on 18th October at a Huawei Connect event in Paris.

Energy Prices

Ceisteanna (45, 63)

Ruairí Ó Murchú

Ceist:

45. Deputy Ruairí Ó Murchú asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will outline any future plans for energy cost supports and assistance for businesses; and if he will make a statement on the matter. [53087/22]

Amharc ar fhreagra

Jennifer Carroll MacNeill

Ceist:

63. Deputy Jennifer Carroll MacNeill asked the Tánaiste and Minister for Enterprise, Trade and Employment the work that is taking place in his Department to encourage and support small and medium businesses to remain open, given the current difficulties with the cost of living; and if he will make a statement on the matter. [53108/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 45 and 63 together.

I wish to reassure the Deputy that this Government is very aware of the difficulties that businesses are facing due the current energy crisis.

Businesses now require help with their energy bills and that is why a significant package to help businesses with escalating energy costs and to plan for the future was announced in Budget 2023.

The Temporary Business Energy Support Scheme, to be administered by Revenue, is being designed to support eligible businesses that have experienced a significant increase in their electricity and/or natural gas costs. It will apply to trades, professions and 'new businesses' and will be finalised as part of the Finance Bill which is progressing through the Houses.

Additionally, the new €200 million Ukraine Enterprise Crisis Scheme for manufacturing and internationally traded firms will provide up to €500,000 per firm to ensure there is sufficient liquidity available in the markets and up to €2 million per firm for energy intensive business.

A new €1.2 billion State-backed Ukraine Credit Guarantee Scheme will assist the wider business sector with liquidity and to invest in energy efficiency. Government approval was secured earlier this week to publish the legislation to underpin this which we will bring through the Oireachtas in the coming weeks. A new State-backed Growth and Sustainability Loan Scheme will also be opened next year.

The reduced rate of VAT on gas and electricity from 13.5% to 9% has also been extended until the 28th February 2023.

The Government will keep the energy situation under constant review, and we will continue to examine what measures are possible to manage the impact of rising energy prices.

Departmental Strategies

Ceisteanna (46)

Pauline Tully

Ceist:

46. Deputy Pauline Tully asked the Tánaiste and Minister for Enterprise, Trade and Employment if he is satisfied that Action 2.10 of the Comprehensive Employment Strategy for People with Disabilities is being implemented; and if he will make a statement on the matter. [53853/22]

Amharc ar fhreagra

Freagraí scríofa

Action point 2.10 was included in the Action Plan for 2015 to 2018 as part of the Comprehensive Employment Strategy and was intended to support and promote self-employment as a viable option for people with disabilities, including equal access to mainstream supports and schemes.

The Local Enterprise Offices (LEOs) are the ‘first-stop-shop’ for advice and guidance, financial assistance, and other supports for anyone, including people with disabilities, intending to start or grow a business. In that regard, the LEOs provide a ‘signposting’ service in relation to all relevant State supports available through agencies such as the Department of Social Protection, Revenue, Education and Training Boards, the Credit Review Office and Microfinance Ireland.

The LEO direct financial grants are available to all entrepreneurs provided their business meets the general eligibility criteria, such as operating in manufacturing or internationally traded services. In addition, all entrepreneurs can avail of LEO training, mentoring and management development programmes. Furthermore, LEOs can provide additional support to entrepreneurs with disabilities such as one to one mentoring or accommodations to assist with the completion of grant application forms or to complete training courses such as Start Your Own Business.

The Local Enterprise Office promotes self-employment as a viable option for people with disabilities. Through the provision of mentors, the LEOs are partners in the delivery of the TU Dublin Entrepreneurship for People with Disabilities Programme. Further information is available www.tudublin.ie/explore/news/aib-and-tu-dublin-entrepreneurship-for-people-with-disabilities-programme---new-12-week-course-commencing-on-september-21st.html

Enterprise Ireland is focused on ensuring that supports for entrepreneurs and enterprise are accessible to all, including people with disabilities. Enterprise Ireland continues to invest in additional content, available on eiLearn (eilearn.ie/) and are working in conjunction with stakeholders in the LEOs and third level colleges to develop new programmes and initiatives.

Industrial Development

Ceisteanna (47)

Ciarán Cannon

Ceist:

47. Deputy Ciarán Cannon asked the Tánaiste and Minister for Enterprise, Trade and Employment the work that is being carried out to promote the IDA's 240-acre strategic site at Athenry, County Galway, to international investors. [53860/22]

Amharc ar fhreagra

Freagraí scríofa

IDA Ireland has a number of strategic land holdings within the Strategic Economic Corridor as identified in the Galway County Development Plan. These lands include the Oranmore Strategic Site and the Athenry Strategic Site. IDA Ireland has delivered significant infrastructure upgrades to these lands in recent years in order to ensure the lands are serviced for potential investments of scale. IDA Ireland also notes the framework for the Galway Airport lands in the Galway County Development Plan as an additional investment location of scale within the Strategic Economic Corridor.

IDA Ireland, through its network of international offices, continues to market both IDA, Local Authority and Privately owned lands to potential investors and notes the strategic importance of the lands in the Strategic Economic Corridor. In this regard the IDA made a submission to the Galway County Development Plan 2022-2028 to support and further strengthen the Strategic Economic Corridor.

IDA Ireland continues to market the West region through its overseas offices to target mobile FDI opportunities, with corresponding site visits. IDA Ireland will be targeting Lifesciences, Medical Devices, Financial Services and Technology sectors for investment opportunities in RD&I, advanced manufacturing, global business services and technology development.

FDI cannot be the sole contributor in addressing the challenges facing Ireland’s regions – from Brexit to Covid-19, digital transformation to the climate transition – but it can have a significant impact in propelling economic recovery and realising more balanced growth.

The provision of property solutions is a key element in IDA’s marketing of Galway and the West Region. IDA Ireland actively promotes available buildings and land in IDA Business Parks and high-quality buildings in private ownership through our network of overseas offices. In Galway IDA has invested significantly in the provision of world-class property solutions.

IDA Ireland has supported a significant number of investments from client companies recently, such as Fidelity Investments, Rhenus, Medtronic, Trane Technologies and Cerenovus. These contribute significantly to economic development in County Galway, with many IDA Ireland client companies offering remote and hybrid working opportunities.

Work Permits

Ceisteanna (48)

Marc Ó Cathasaigh

Ceist:

48. Deputy Marc Ó Cathasaigh asked the Tánaiste and Minister for Enterprise, Trade and Employment the position regarding the establishment of a work permits quota for bus drivers from non-EU and non-EEA countries given the shortage of bus drivers for Irish private bus companies and public transport routes; and if he will make a statement on the matter. [53858/22]

Amharc ar fhreagra

Freagraí scríofa

Ireland operates a managed employment permits system maximising the benefits of economic migration and minimising the risk of disrupting Ireland’s labour market.

The regime is designed to accommodate the arrival of non-EEA nationals to fill skills and labour gaps for the benefit of our economy, in the short to medium term, and is managed through the operation of the Critical Skills and Ineligible Occupations Lists which determine roles that are either in critical short supply or are ineligible for an employment permit. The system is vacancy led and eligibility is not determined by either sector or country of origin.

The role of Bus Driver is currently on the Ineligible Occupations List and, as such, an employment permit cannot be granted for this occupation.

In order to have an occupation considered for adding to or removal from the Occupations Lists, or for a quota to be created, recruitment difficulties should be demonstrated as solely due to shortages across the EEA and not to other factors such as salary and/or employment conditions. Sectors are required to engage structurally with the public employment service of the Department of Social Protection.

Submissions will be invited from sector representative bodies and interested parties via the Public Consultation Form which will be accessible on the Department’s website throughout the consultation period when the next Review of the Occupational Lists commences.

My Department chairs the Interdepartmental Group to oversee the review process which includes membership drawn from senior officials of key departments including the Department of Transport who have policy responsibility for this sector. Officials from my Department are engaging with colleagues in the Department of Transport on the need for this role to be eligible for employment permits.

My Department continues to keep the employment permits system under review in light of changing labour market circumstances and the timing of the next Review of the Occupational Lists will be kept under consideration.

Living Wage

Ceisteanna (49)

Maurice Quinlivan

Ceist:

49. Deputy Maurice Quinlivan asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on the introduction of a living wage; when he anticipates this to be introduced; and if he will make a statement on the matter. [53826/22]

Amharc ar fhreagra

Freagraí scríofa

The Programme for Government contains the commitment to “progress to a living wage over the lifetime of the Government”.

In January 2021, I requested the Low Pay Commission to report on how best the Government could progress to a living wage. Following commissioned research from Maynooth University and engagement with unions and representative groups, the Commission submitted its Living Wage Report in March of this year which included 18 recommendations.

In their recommendations, the Low Pay Commission proposed adopting a fixed threshold approach for the calculation of a living wage, as opposed to a Minimum Essential Standard of Living or “basket of goods” approach, and setting the fixed threshold at 60% of the median wage in the economy. The Commission also recommended that after the 60% target has been reached, subject to an assessment of the impact of this, the Commission should then assess the economic practicality of gradually increasing the targeted threshold rate towards 66% of the median wage.

In June of this year, I outlined a proposal to introduce a living wage for all employees. A public consultation was then launched seeking submissions from the public on the Low Pay Commission’s recommendations and on a ‘strawman proposal’ which provided an illustrative example of how a living wage might be phased in over a 4-year timeframe. The public consultation closed in August. It received 46 submissions.

An interdepartmental working group has also been formed to address the issues arising from the Low Pay Commission’s recommendations in order to assist with the progression to a living wage.

I will shortly bring to Government a proposal on the adoption of a living wage for all employees, over a specified number of years.

As part of Budget 2023 the government accepted the Low Pay Commission’s recommendation that the National Minimum Wage should increase by 80 cent from €10.50 per hour to €11.30 per hour with effect from the 1st January 2023.

The new National Minimum Wage of €11.30 is in line with the living wage strawman proposal. As such, next year can be considered the first year of a proposed four-year path towards reaching the living wage of 60% of the median wage.

Digital Hubs

Ceisteanna (50)

Sorca Clarke

Ceist:

50. Deputy Sorca Clarke asked the Tánaiste and Minister for Enterprise, Trade and Employment the extent to which he and his Department engage with local authorities regarding the development of digital hubs; and if he will make a statement on the matter. [53877/22]

Amharc ar fhreagra

Freagraí scríofa

My Department has invested in the development of enterprise hubs and digital hubs through the various regional enterprise funds which drive implementation of the nine Regional Enterprise Plans.

Approximately 40 Enterprise Centres/Hubs have been funded under these schemes and are at various stages of development. Enterprise Centres are primarily focussed on providing spaces for start-ups, providing training, collaborative spaces, aiding innovation and supporting digitalisation.

A key feature and strength of the Regional Enterprise Plans is that they are developed using a ‘bottom-up’ approach, developed by regional stakeholders, including local authorities, who are keenly aware of the growth opportunities and vulnerabilities in their region, and of the benefits of working collaboratively to enhance their enterprise ecosystem. Implementation of the Regional Enterprise Plans to 2024 is underway by Steering Groups in each of the nine regions.

The Deputy may wish to note that as part of the Digital Europe Programme (DIGITAL), the European Commission and EU Member States will establish and co-fund a network of European Digital Innovation Hubs (EDIHs). These hubs will support digital transformation in SMEs and public sector organisations by encouraging the adoption of the latest advances in the three DIGITAL key technologies of Cybersecurity, Artificial Intelligence and High-Performance Computing. EDIHs will serve as “one-stop-shops” providing access to technical expertise and experimentation, as well as innovation services, and the training and skills development necessary for successful digital transformation.

The European Union is investing over €700 million to co-fund the EU-wide network of hubs. Each Irish hub is set to receive annual funding of €1.9 million from both the EU and the Irish Government under the National Recovery and Resilience Facility.

There are four candidate EDIHs in Ireland:

- FactoryxChange (FxC) led by the EI funded Irish Manufacturing Research in Mullingar to accelerate factories to become ‘Factories of the Future’ embracing the ecological, digital, and societal challenges;

- CeADAR led by Ireland’s EI/IDA Technology Centre in Applied Data Analytics and Machine Intelligence (based in UCD) which will aim to focus on supporting Artificial Intelligence (AI) transformation in SMEs and public-service organisations;

- ENTIRE led by Tyndall National Institute Cork to help SMEs and start-ups to become more competitive in their business/production processes using digital technologies such as IoT and sensors;

- DATA2SUSTAIN led by Atlantic Technological University Sligo, which aims to increase the transformation capacity of SMEs in the Northern and Western Region with a focus on circular economy, operations and sustainability areas.

It is hoped to open the first two EDIHs by the end of the year.

The Deputy may also wish to note that the Department of Rural and Community Development (DRCD) operate a number of funding streams and initiatives which are available to projects supporting digital hubs throughout the country.

To date that Department has invested over €100M to support the establishment, improvement and sustainability of hubs. This includes a c.€14 million funding allocation to almost 200 projects via the Connected Hubs fund, enabling successful applicants to add additional capacity to existing remote working infrastructure in digital hubs and Broadband Connection Points throughout the country. The Rural Regeneration and Development Fund and the Town and Village Renewal Scheme also both support the establishment of digital hubs.

In May 2021, my colleague, Heather Humphreys TD, Minister for Rural and Community Development, launched the National Hub Network. The Network includes a range of digital hubs catering for a wide variety of remote and co-working needs.

I have been advised that DRCD officials have been consulting with digital hub managers across the country, with local authorities and communities, and with other department and external stakeholders, to better inform the future strategic direction of the National Hub Network and the connectedhubs.ie platform.

Living Wage

Ceisteanna (51)

Louise O'Reilly

Ceist:

51. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on the living wage recommendation proposed by the Living Wage Technical Group. [53831/22]

Amharc ar fhreagra

Freagraí scríofa

We want to reward work and ensure that work pays more. Minimum wage workers are among the hardest working people in Ireland and deserve to paid more particularly at a time of rising prices.

In September, the Government agreed to accept the Low Pay Commission’s recommendation to increase the National Minimum Wage by 80 cent to €11.30 from the 1st of January 2023. At least 164,000 people, possibly more are estimated to be in line for this increase, with many others on slightly higher pay levels also getting a knock-on increase.

That works out at an extra €30 per week, around €120 a month or €1,664 a year if you’re working full-time.

The Living Wage Technical Group, which comprises members including the Vincentian MESL Research Centre, TASC, NERI and SIPTU calculates a living wage by estimating the cost of a basic basket of goods, services and expenses required to maintain a “minimum essential living standard”. The Partnership estimates the living wage for 2023 as €13.85 per hour. It is worth noting that there are no employer representatives on the Living Wage Technical Group.

Officials in my Department have reviewed the report from the Partnership. It is important to note that this report is not connected to or endorsed by the Low Pay Commission and it is separate to the Programme for Government commitment to “progress to a living wage over the lifetime of the Government”. I understand that the Low Pay Commission met with representatives from the Living Wage Technical Group in the course of its deliberations on the living wage.

In their recommendations, the Low Pay Commission proposed adopting a fixed threshold approach for the calculation of a living wage, as opposed to a Minimum Essential Standard of Living or “basket of goods” approach, and setting the fixed threshold at 60% of the median wage in the economy. The Commission also recommended that after the 60% target has been reached, subject to an assessment of the impact of this, the Commission should then assess the economic practicality of gradually increasing the targeted threshold rate towards 66% of the median wage.

In June of this year, I outlined a proposal to introduce a living wage for all employees. A public consultation was then launched seeking submissions from the public on the Low Pay Commission’s recommendations and on a ‘strawman proposal’ which provided an illustrative example of how a living wage might be phased in over a 4-year timeframe.

The new National Minimum Wage of €11.30 is in line with the living wage strawman proposal. As such, next year can be considered the first year of a proposed four-year path towards reaching the living wage of 60% of the median wage.

I will shortly bring to Government a proposal on the adoption of a living wage for all employees, over a specified number of years.

Work Permits

Ceisteanna (52, 149)

Bernard Durkan

Ceist:

52. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment the extent to which efforts continue to be made to ensure the availability of adequate qualified staffing levels to meet the requirements of the workplace; and if he will make a statement on the matter. [53768/22]

Amharc ar fhreagra

Bernard Durkan

Ceist:

149. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment the extent to which he and his Department continue to monitor the effect of staff shortages in the context of the delivery of services throughout the public and private sectors; and if he will make a statement on the matter. [54132/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 52 and 149 together.

When we launched the Economic Recovery Plan last year, we set a goal of achieving 2.5 million people in employment by 2024. The Plan not only aimed to recover employment lost during the pandemic but to promote new employment opportunities through increased labour market activation and by accelerating the provision of training, reskilling and upskilling opportunities.

According to the latest available national figures, from the Central Statistics Office’s Labour Force Survey, employment levels reached 2.55 million in Q2 2022. We now have more people employed in our country than ever before, while the latest monthly unemployment rate stands at 4.3% - levels not seen since 2005. These results are a testament to the hard work and resilience of the Irish people and enterprise. The rate of growth since the beginning of 2021 has been remarkable. Since Q1 2021, the number of people in employment has grown by 324,000 (14.5%).

It has been especially welcome to see a strong recovery in the Accommodation and Food Service sector, with employment in this sector increasing by 68% since the start of 2021. The impact of the pandemic was not equal across sectors, and those in the Hospitality sector were significantly affected. Our strong policy interventions during the pandemic – rapidly rolling out the Employment Wage Subsidy Scheme and Pandemic Unemployment Payment – appear to have minimised any long-term labour market scarring in the sector.

Much of the recent increase in employment has been driven by record levels of female labour market participation. There is currently a record-high 1.19 million women in employment – an increase of 164,400 since the start of 2021. As well as continued funding increases for early learning and childcare, interventions through Making Remote Work, our national Remote Work Strategy and Pathways to Work 2021-2025, have assisted in addressing obstacles to labour market inclusion for women.

In its ongoing engagement with enterprise and public service stakeholders, my Department and its agencies have nevertheless been made aware of labour shortages in certain sectors. My Department has worked to signpost businesses towards the training, labour market activation and EEA recruitment programmes and supports available through the Department of Further and Higher Education, Research, Innovation and Science, its agencies, and the Department of Social Protection, in order to address their staffing needs.

Some of these shortfalls are due to pre-existing structural shifts, which have been accelerated by the impact of the pandemic. The digital and green transitions, and their associated behavioural changes, are altering the economy and leading to permanent changes in our labour market and business models. Not all jobs will return as we recover from the pandemic, while embracing these transitions will open up substantial new employment opportunities, as well as potential skills mismatches as these opportunities initially emerge.

The Government’s Economic Recovery Plan commits to supporting the transition of Ireland’s economy and workforce to the new digital and green economies. In order to support businesses in securing talent with the right skills, the Government continues to roll-out thousands of additional re-skilling and upskilling opportunities through the National Training Fund to steer employees and employers through the resulting sectoral and labour market transitions.

My Department and its enterprise agencies help inform the targeting and content of these training interventions, through membership of the National Skills Council, Expert Group on Future Skills Needs, National Training Fund Advisory Group and Regional Skills Fora, as well as through broader collaboration with the Department of Further and Higher Education, Research, Innovation and Science and their agencies.

My Department also operates an employment permit system which is highly responsive to areas of identified skills needs and labour shortages across the economy- including those which impact on the provision of public services- where such skills and expertise cannot be sourced from within the EEA at that time. The system is, by design, vacancy led and managed through the operation of the critical skills and ineligible occupation lists. These lists are usually subject to twice yearly evidence-based reviews, taking account of labour market research, a public consultation and contextual issues such as Brexit and COVID-19.

Up to the end of September, my Department had granted 31,076 permits. Just over four fifths of these permits were granted for the recruitment of staff across Information and Communication activities, Health and Social Work, Agriculture, Forestry and Fishing, Financial and Insurance Activities, Accommodation and Food Services and Construction.

Industrial Development

Ceisteanna (53, 67)

Éamon Ó Cuív

Ceist:

53. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Enterprise, Trade and Employment if his Department has a policy in relation to the industrial promotion of the military arms industry in Ireland and if so, if ethical considerations are taken into account in deciding policy. [53741/22]

Amharc ar fhreagra

Éamon Ó Cuív

Ceist:

67. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Enterprise, Trade and Employment if his Department has issued guidelines to the agencies under the aegis of his Department in relation to supporting the lethal arms industry in Ireland; and if he will make a statement on the matter. [53742/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 53 and 67 together.

Successive Irish governments have followed a policy of military neutrality, which is characterised by non-membership of military alliances.

Irish neutrality goes hand in hand with our promotion of international peace and stability. We are committed to our obligations as members of the United Nations, including the obligation, under chapter 7 of the UN Charter, to assist in implementing UN Security Council Resolutions which aim to maintain international peace and security.

As part of our commitment to promote international peace and stability, Ireland participates, through the Department of Foreign Affairs, in the leading, multi-lateral, non-proliferation regimes, namely, the Australia Group which deals with biotechnology; the Chemical Weapons Convention; the Missile Technology Control Regime; the Nuclear Suppliers Group; and the Wassenaar Arrangement, which deals with technology and industrial items.

These regimes underpin the multi-lateral framework of Export Controls designed to prevent the proliferation of weapons of mass destruction, to preserve regional stability, to prevent terrorism and to protect human rights. Export Controls generally take the form of a legal obligation on exporters to obtain prior authorisation i.e., an Export Licence, from the national competent authority in a State for the export to third countries of certain, designated goods.

My Department is the National Competent Authority responsible for administering EU Export Controls in respect of Military equipment, in accordance with the European Council Common Position 2008/944/CFSP defining common rules governing control of exports of military technology and equipment.

The list of Military equipment subject to these controls is set out in the Common Military List of the European Union.

All applications for export authorisations in respect of Military equipment are subject to rigorous scrutiny by my officials and assessed against the eight assessment criteria set out in Article 2 of Council Common Position 2008/944/CFSP.

The application is also reviewed against any EU Restrictive Measures, such as trade sanctions or arms embargoes, that may be in place in respect of the destination country.

My officials also consult with the Department of Foreign Affairs on any foreign policy concerns, including human rights considerations, that may arise from the proposed export.

Ireland does not have an arms industry and is not therefore an exporter of military weapons. Export licences are granted in respect of exports of personal firearms for hunting, sporting and recreational activities; explosives for civil engineering applications; aircraft and related equipment and components; ground vehicles and components; electronic control systems and software.

My Department operates an outreach programme with companies, representative bodies and state agencies to raise awareness of Export Controls and to support compliance.

Enterprise Ireland is precluded from promoting military arms, unless sanctioned by the Government. Similarly, in line with legal constraints on its remit, IDA does not target companies producing military goods.

Employment Rights

Ceisteanna (54)

Louise O'Reilly

Ceist:

54. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps that his Department is taking to ensure that there is oversight in relation to the use of algorithmic control to ensure that automated decision-making without any human involvement is not taking place in this State, particularly in the so-called gig-economy. [53834/22]

Amharc ar fhreagra

Freagraí scríofa

The (EU) Proposal for a Directive on improving working conditions in platform work was published in December 2021 and is currently being negotiated in the Council of the European Union. The Directive increases transparency in the use of algorithms by digital labour platforms, ensures human monitoring on their respect of working conditions and gives the right to contest automated decisions. These new rights will be granted to both workers and genuine self-employed.

In addition, Ireland has a comprehensive body of employment legislation, in respect of which the Workplace Relations Commission (WRC) is mandated to secure compliance. Ireland’s employment rights legislation protects all employees who are legally employed on a contract of service basis. Where an individual believes they are being deprived of employment rights applicable to employees they may refer a complaint to the Workplace Relations Commission (WRC) where the matter can be dealt with by way of mediation or adjudication leading to a decision that is enforceable through the District Court.

In general, automated decision making is made by artificial intelligence systems. Ireland’s National AI Strategy: AI – Here for Good, which was launched in July 2021, sets out our commitment to trustworthy AI through a people-centred, ethical approach to its development, adoption and use.

There is currently a regulation on artificial intelligence (the Artificial Intelligence Act) being negotiated at EU Level. While still in draft form, the regulation takes a proportionate risk-based approach to AI where certain particularly harmful AI practices are prohibited, while specific restrictions and safeguards are proposed in relation to certain high-risk areas such as recruitment. This includes AI systems used in employment, workers management and access to self-employment. The regulation will apply to the developer, provider and user of AI and aims to address the risks generated by specific uses of AI through a set of complementary, proportionate and flexible rules.

My Department is leading on these negotiations at EU level and will be responsible for the implementation of this regulation into domestic law.

Living Wage

Ceisteanna (55)

Thomas Gould

Ceist:

55. Deputy Thomas Gould asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of persons who are currently employed for less than the living wage; and his plans to remedy this. [53845/22]

Amharc ar fhreagra

Freagraí scríofa

The Programme for Government contains the commitment to “progress to a living wage over the lifetime of the Government”. There is currently no statutory living wage in Ireland.

In January 2021, I requested the Low Pay Commission to report on how best the Government could progress to a living wage. Following commissioned research from Maynooth University and engagement with unions and representative groups, the Commission submitted its Living Wage Report in March of this year which included 18 recommendations.

In their recommendations, the Low Pay Commission proposed adopting a fixed threshold approach for the calculation of a living wage, as opposed to a Minimum Essential Standard of Living or “basket of goods” approach, and setting the fixed threshold at 60% of the median wage in the economy. Based on these recommendations, in June of this year, I outlined a proposal to introduce a living wage for all employees. A public consultation was then launched seeking submissions from the public on the Low Pay Commission’s recommendations and on a ‘strawman proposal’ which provided an illustrative example of how a living wage might be phased in over a 4-year timeframe.

In September, the Government agreed to accept the Low Pay Commission’s recommendation to increase the National Minimum Wage by 80 cent to €11.30 from the 1st of January 2023. At least 164,000 people, and possibly more are estimated to be in line for this increase, with many others on slightly higher pay levels also getting a knock-on increase.

That works out at an extra €30 per week, around €120 a month or €1,664 a year if you’re working full-time.

The new National Minimum Wage of €11.30 is in line with the living wage strawman proposal. As such, next year can be considered the first year of a proposed four-year path towards reaching the living wage of 60% of the median wage.

I will shortly bring to Government a proposal on the adoption of a living wage for all employees, over a specified number of years.

Question No. 56 answered with Question No. 11.

Legislative Measures

Ceisteanna (57, 142)

Louise O'Reilly

Ceist:

57. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will provide an update on the changes that are being made to the Right to Request Remote Work Bill 2021. [53832/22]

Amharc ar fhreagra

Michael Moynihan

Ceist:

142. Deputy Michael Moynihan asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will provide an update on the progress of the Right to Request Remote Working Bill 2022; and if he will make a statement on the matter. [54008/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 57 and 142 together.

The Right to Request Remote Working Bill is part of a broader Government vision to make remote working a permanent feature of Ireland’s workforce in a way that can benefit all – economically, socially and environmentally.

The proposed legislation will provide employees with a right to request remote work and will provide a legal framework around which requesting, approving or refusing such a request can be based. It will also provide legal clarity to employers on their obligations for dealing with such requests.

Pre-legislative scrutiny of the General Scheme by the Joint Oireachtas Committee on Enterprise, Trade and Employment commenced on 9th February and the Report of the Committee was published on the 7th of July. Department officials are now carefully considering its contents including the recommendations on the grounds for refusal and redress provisions.

It has been a challenge to strike the right balance in the legislation between employer and worker interests, that is fair and reasonable to all. I have said on many occasions that I have a ‘listening ear’ with regard to the proposed legislation and I’m open to changes. I have listened to the feedback offered and my officials are working to improve the General Scheme by considering the PLS recommendations and consulting further with stakeholders to identify practical ways forward.

It remains my intention to publish the Bill by the end of the year.

Trade Data

Ceisteanna (58)

Richard Bruton

Ceist:

58. Deputy Richard Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment if the exports of Irish-owned companies are being successfully diversified; and if he will make a statement on the matter. [53403/22]

Amharc ar fhreagra

Freagraí scríofa

The Central Statistics Office compiles statistical data in relation to Goods Exports and Imports. CSO statistics confirm that Ireland has experienced remarkable trade growth in recent years with exports growing from €233 billion in 2015 to €451 billion in 2021. In 2021, Ireland’s global trade reached its highest ever value of €842 billion, comprising €451 billion in total Exports (Goods and Services) and €391 billion in total Imports (Goods and Services). The EU as a bloc was the destination for €61 billion or 37% of Ireland’s total Goods Exports in 2021. The US continues to be Ireland’s biggest single goods export market, accounting for almost 32% of total Goods exports in 2021. Exports to Great Britain accounted for 9% of total exports in 2021.

There are ongoing challenges to Irish-owned companies due to the effects of the war in Ukraine, instability in financial markets, Brexit, inflation, climate change and digitalisation. Therefore, market and sectoral diversification remains critical to the sustainable growth of Irish owned companies.

Diversification has been a key focus of Enterprise Ireland’s work in recent years, and considerable progress is being made on the market and sectoral diversification of Irish-owned enterprises. In 2021 Enterprise Ireland saw exports by Irish owned companies it supports increase by 12% to a record €27.29bn. This is the highest ever level of growth for Enterprise Ireland-backed companies in export value and growth was experienced across all territories. Exports by EI client companies to the Eurozone increased by 10% last year, totalling €6.04bn and accounting for over one-fifth (22%) of total exports. The next largest market was North America, which saw a 14% increase, bringing total exports to €4.87bn and this market now accounts for 18% of total exports from EI supported companies. Despite the uncertainty caused by the changed trading relationship between the UK and Ireland, exports by EI client companies to this market totalled €8.43bn. This was a rise of 15% with the UK accounting for almost one-third (31%) of the export trade of EI client companies.

As well as the global efforts supported by our agencies, key to our success in growing exports has been our commitment to trade liberalisation in order to open new markets for our indigenous sectors. With a small domestic market, further expansion in other markets is essential to our continued economic growth and, in this regard, Ireland will continue to support the EU’s ambitious programme of negotiating new Free Trade Agreements, opening new markets for Irish companies and increasing export and investment opportunities.

Job Creation

Ceisteanna (59)

Matt Carthy

Ceist:

59. Deputy Matt Carthy asked the Tánaiste and Minister for Enterprise, Trade and Employment the targets for delivery of IDA supported jobs in County Monaghan for 2023. [53597/22]

Amharc ar fhreagra

Freagraí scríofa

2021 was a record-breaking year for Foreign Direct Investment (FDI) employment, with total employment in IDA client companies now standing at 275,384, up over 29,000 on 2020. Growth in the regions was particularly buoyant, with 53% or 133 projects of the 249 investments won by IDA going to regional locations. Employment growth was recorded in every region of the country.

Monaghan is marketed by the IDA as part of the wider Border Region, made up of the counties Donegal, Sligo, Leitrim, Cavan, as well as Monaghan. There are 67 IDA companies in this region who collectively directly employ 8,721 people. There are currently 8 IDA supported companies in Monaghan, employing 430 people.

The FDI performance in the region has been strong over the past five years with employment among IDA clients increasing by 18% as traditional strengths in sectors such as Engineering & Industrial Technologies and Medical Technologies were complemented by new investments from the Technology, International Financial Services and Life Sciences sectors.

Key to that success is strategic collaboration with national and local stakeholders on the enhancement of the regional value proposition for FDI. In this regard, IDA Ireland welcomes the significant funding that both Cavan and Monaghan have received under the Urban Regeneration Development Fund (URDF) to date which will further enhance the attractiveness of both counties for FDI.

The existing FDI base of companies in Monaghan enjoys strong collaborative links with several third level colleges including Dundalk Institute of Technology as well as the Technological University of the Shannon (TUS) and the Atlantic Technological University (ATU).

The IDA will target 25 investments for the Border region in the period 2021 to 2024. The Agency will build on the strengths and competencies of the region with a focus on opportunities arising in the sectors of Life Sciences, Technology and Services. The objective will be to take advantage of emerging technologies and business models, including home and hub working. As the Deputy will be aware, IDA Ireland has recently completed the construction of an Advance Building Solution in Monaghan which it is currently actively marketing to potential FDI clients.

I am advised that the IDA has regular engagement with client companies and stakeholders in the County, and throughout 2023 IDA Ireland will continue to market Monaghan and the Border Region through its overseas offices to target mobile FDI opportunities and will arrange corresponding site visits as required.

Departmental Bodies

Ceisteanna (60)

Catherine Connolly

Ceist:

60. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment further to the publication of the review of the atypical scheme for non-EEA crew in the Irish fishing fleet, the status of the establishment of the promised cross-departmental group to oversee implementation of the transition from the current scheme to the employment permits scheme, which his Department is to co-chair; and if he will make a statement on the matter. [53789/22]

Amharc ar fhreagra

Freagraí scríofa

On 11 October Government approved the publication of the Review of the Atypical Scheme for non-EEA Crew in the Irish Fishing Fleet. This report and its recommendations follow an extensive consultation process with stakeholders involved in the scheme.

The key recommendation of the Review Group is that the employment of non-EEA crew in the Irish fishing fleet should be provided for under the Employment Permit system (administered by the Department of Enterprise, Trade and Employment), instead of the Atypical Working Scheme (administered by the Department of Justice).

A cross-departmental group of senior officials in relevant departments and agencies will be established to oversee implementation of the transition from the current scheme to the Employment Permits Scheme. This group will be co-chaired by the Department of Agriculture, Food and the Marine and the Department of Enterprise, Trade and Employment. The overall time frame for implementation of the report’s recommendations is expected to be approximately 12 months and Terms of Reference to guide the cross-departmental group will be agreed soon.

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